Istanbul ranks 79th in terms of cost of living, according to the 2012 Mercer Cost of Living Study, which analysed 214 global cities on five continents. Turkey dropped nine notches from last year, becoming a cheaper city to live in.

Tokyo was listed as the most expensive city in the world in terms of cost of living, with Luanda Angola in second. The report also noted that European cities became cheaper this year compared to the year before.

Mercer, the company behind the survey, provides human resources consulting in more than 40 countries servicing 25,000 clients. They examined more than 200 different factors, such as transportation, housing prices, food, clothing, home appliance and entertainment costs when compiling its cost of living index.

To read the full article, see the Hürriyet website.

Do you think Istanbul is becoming a cheaper city to live in? Add your comments below.